Support of 15400 critical for extreme near term.
SGX NIFTY make a new historical high.
is hitting the overbought zone.
Overbought zone can lead to reversal
acceleration up before reversing.
Later can develop negative diveregence
if support is violated and recover for new high again.
Violation of 15400 can lead to retracement of the rise from
14456 to recent high of 15527.
If rise above 15527 continues then earlier historical peak
breakout effect will come into contention.
The same could be clearly visible from higher degree chart time
frame of daily or weekly.
Currently, we are looking at 4 hour chart trend.
Therefore, support is critical.
If 15400 is violated then expect retracement to 15273 and 15116
whichever are 23.6% and of
the rise from 14454 to 15527.
The trend is up surely based on any moving average
and higher top and higher bottom concept
from the last major swing bottom of 14454.
Issue now is on violation of support of 15400.
One must remember this is 4 hour chart therefore
the life of the trend may be be large.
Correction if any can be intra-day or intra-weeks correction
before a further rally.
The weekly candle is along with historical
Therefore as long as weekly low of 15085 is not
Lowe time frame correction can be used for accumulation.
Consider the 4 hour chart.
Correction could be opportunity for accumulation
as higher bottom if any to be formed
will be at retracement level of 15273 , 15116 and 14990.
Upside momentum continues if sustains above 15527
on monday closing.